Before mass motorisation - Transport Policy and Planning in Great Britain - page 72

around cities. In London for example the M1 and M4 motorways come to a noticeably
abrupt end at the North Circular Road which marks the boundary of the former London
County Council.
As a consequence of the Trunk Roads Act the Ministry of Transport acquired the
unusual role for a central government department of a promoter and developer of
schemes. Whereas previously its officials had spent their time inspecting the details
of local authority proposals the new arrangements begged the question of who was to
vet the Ministry's own schemes - an issue which assumed greater importance in later
decades. The takeover also placed in doubt the credibility of the Ministry in being able
to exercise impartially its policy formulation role in adjudicating between the claims of
the various modes within transport as a whole.
4.7 Nationalised transport
During the first half of the 20th century the tide of opinion moved strongly towards the
principle of national planning, co-ordination and eventually ownership of non-local
freight and passenger transport services. The creation of the Ministry of Transport and
of the trunk road network reported above were part of this trend.
Competition between longer distance road and rail passenger services was effectively
nullified by the system of road service licensing introduced in 1930. However the Royal
Commission advising on the reform of licensing had reported that: 'Without unification
- however it may be accomplished - no attempt to bring about complete co-ordination
would be successful.' A degree of co-ordination was nevertheless achieved independently
by railway companies acquiring stakes in bus companies and to a lesser extent in road
haulage which they used as feeders to rail depots.
As with road passenger transport more reckless developments in the road haulage
industry were constrained by a licensing system introduced in 1933. Hauliers had to
demonstrate their fitness as operators and comply with regulations governing drivers'
hours and wages. Those engaged in public carriage (as opposed to firms' own business)
also had to obtain Carriers' Licences. Existing businesses received licences automatically
but subsequent applicants had to show that suitable transport facilities (road or rail) were
not already in existence.
Despite the appeal of 'co-ordination' as a principle, little was actually done during the
inter-war period to achieve it. The system of passenger service and freight carriers' licences
was designed primarily to prevent wasteful competition, which is not the same thing.
After the war the election of a Labour Government on a strong socialist programme
meant that the co-ordination issue would be addressed by greater administrative control
rather than by allowing greater play for market forces as some advocated. The Transport
Act of 1947 established the British Transport Commission (BTC) with a duty of
'providing or securing the provision of, an efficient, adequate, economical and properly
integrated system of public inland transport and port facilities in Great Britain'. At the
same time it was charged with paying its way, taking one year with another and also with
consulting newly-created user consultative committees. Exactly how the Commission
was to pursue and reconcile these potentially conflicting objectives was not identified,
and indeed never resolved during the 15 years of its existence.
The 1947 Act also provided for the nationalisation of all railway and canal companies
plus ancillary road haulage and passenger businesses (i.e. their compulsory acquisition
by the State, with compensation being paid to their previous owners). Assets were
transferred to the BTC and powers were given to it to acquire further road transport